Are long-run profits equal to zero only when firms charge a price equal to their marginal cost,

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Are long-run profits equal to zero only when firms charge a price equal to their marginal cost, and produce an average total cost-minimizing quantity of output? Briefly explain.

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Economics

ISBN: 9781292430645

8th Global Edition

Authors: R. Glenn Hubbard, Anthony P. O'Brien

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Question Posted: Mar 06, 2024 06:01 AM

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Are long-run profits equal to zero only when firms charge a price equal to their marginal cost,

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In perfect competition longrun profits are indeed driven to zero because fir...View the full answer

Economics

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